27 Issue 1 | Spring Edition | 2026 BUILD MANITOBA BENCHMARKS remain one of the most persistent obstacles for Indigenous procurement. Research by CCIB shows that many Indigenous businesses face a significant administrative burden when engaging in procurement. Barriers include navigating multiple complex platforms, maintaining sufficient capital to survive extended payment periods, managing unclear returns on investment (i.e., will the bid award be worth the costs of bid submission) and meeting application prerequisites that disproportionately disadvantage small or remote Indigenous businesses.7 Manitoba’s own system is not immune to this issue. The IPI is intended to simplify and support access, but it still sits within broader procurement structures that the ICC describes as challenging for many smaller businesses to navigate.8 Some Indigenous entrepreneurs also note that procurement opportunities are often too small or fragmented, which limits growth and restricts participation in capital- intensive projects.9 Systemic and historical barriers Procurement barriers exist within overarching structural systems that are slow to adapt to Indigenous procurement initiatives. As identified by the ICC, many Indigenous businesses still face structural hurdles rooted in a long history of colonial policies, including legal restrictions under the Indian Act and the ongoing impacts of residential and day schools. These historic barriers have affected access to capital, capacity development and the ability to scale operations.10 In addition to these systemic issues, discrimination can still be present in procurement processes. Some Indigenous businesses report specific discriminatory challenges during the evaluation and contract stages. This includes risk aversion from buyers, lowest-price criteria that benefit larger non-Indigenous firms, and Indigenous engagement points in evaluation criteria that sometimes offer a greater opportunity to non-Indigenous businesses than Indigenous businesses.11 Capacity constraints and short-term contracts Some Indigenous firms may face capacity constraints, especially when large or long-term projects are involved; however, in contrast, short-duration contracts may be more achievable for certain Indigenous proponents, but short engagements may offer only brief benefits and do not enable the Indigenous businesses to invest in staff or equipment. PATHWAYS TO STRONGER INDIGENOUS PROCUREMENT PRACTICES Strengthen supplier identification and verification Procuring entities should access available resources such as Manitoba’s Indigenous Business Directory registration process, which outlines criteria for verifying Indigenous ownership.12 At the same time, public and private sector companies should design verification steps that not only align with their organization’s goals and operations, but that also respect cultural realities and do not create barriers of their own. Simplify procurement requirements To encourage participation, organizations can: Use clear, concise tender documents; Reduce administrative burdens, especially for smaller contracts; Offer pre-bid sessions and conversations to explain requirements; Award work on a milestone basis to support capacity building where appropriate; and Provide templates, guides and examples for bid submissions. Research shows that administrative burden and unclear processes are major deterrents for Indigenous entrepreneurs. Simplifying these systems is one of the most effective ways to increase Indigenous participation.13 Build relationships through early engagement Companies in Manitoba should engage Indigenous businesses and communities early in the procurement cycle. Early discussions help align expectations, build trust and ensure that projects and procurements meet the needs of the organization procuring the goods and services, as well as the needs and capacity of local Indigenous businesses and communities. Support capacity development Companies can invest in supplier development by offering mentorship, training, subcontracting pathways and guidance and support with understanding tender and competitive bid processes. Supporting capacity development is not only beneficial for non-Indigenous private and public organizations – it is also part of a broader commitment to economic reconciliation that recognizes the historic barriers Indigenous entrepreneurs have faced in Canada. CONCLUSION Indigenous procurement represents a meaningful opportunity for companies and governments in Manitoba. The economic impact has been significant to date, but the pathway to achieving it requires dedicated effort from both non-Indigenous and Indigenous organizations. Challenges such as identifying Indigenous ownership, navigating complex procurement systems and confronting systemic barriers remain substantial; however, by strengthening verification processes, simplifying procurement requirements, engaging early with Indigenous suppliers and investing in Indigenous capacity, those in the public and private sectors can contribute to genuine economic reconciliation. Indigenous procurement is not simply a purchasing decision. It is a commitment to partnership, shared prosperity and a more inclusive future for Manitoba and Canada as a whole. Note: This article is of a general nature only and is not exhaustive of all possible legal rights or remedies. In addition, laws may change over time and should be interpreted only in the context of particular circumstances, such that these materials are not intended to be relied upon or taken as legal advice or opinion. Readers should consult a legal professional for specific advice in any particular situation. 7 www.ccib.ca/wp-content/uploads/2024/10/report- review-regional-indigenous-procurement.pdf 8 www.indigenouschambermb.ca/2025/02/20/ unlocking-the-economic-potential-of-indigenous- procurement-in-manitoba 9 Ibid. 10 www.indigenouschambermb.ca/2025/02/20/ unlocking-the-economic-potential-of-indigenous- procurement-in-manitoba 11 www.ccib.ca/wp-content/uploads/2024/10/report- review-regional-indigenous-procurement.pdf 12 www.manitoba.ca/central/psc/pubs/api/ indigneous%20procurement%20initiative.pdf 13 www.ccib.ca/wp-content/uploads/2024/10/report- review-regional-indigenous-procurement.pdf
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